Compliance Updates
Missouri House Approves Bill to Legalize Sports Betting
The Missouri House gave first-round approval last Wednesday to a bill that would allow betting on major college and professional sports.
The bill, sponsored by Rep. Dan Houx, R-Warrensburg, is the proposal preferred by the casinos and major sports teams, who would all get a piece of the action.
A major part of the drive to allow sports wagering is that it is legal in most of the states that adjoin Missouri and residents are going to those states before major events to place their bets.
âMissourians are doing it right now and we are not getting the benefit from the tax standpoint,â House Speaker Pro Tem John Wiemann, R-OâFallon, said.
Fiscal notes prepared for the bills prior to Wednesdayâs debate estimated that Missourians will wager about $150 million annually on sporting events. The tax rate specified in the bill, 10%, was reduced to 8% under an amendment sponsored by Rep. Wes Rogers, D-Kansas City.
That would make the tax rate lower than the rate proposed in Kansas, he said. Similar bills, filed in the Missouri Senate, would set the tax rate at 21%, the same rate casinos pay on the net from other forms of gambling.
Under the bill in the House, which needs another vote to go to the Senate, gamblers could place a bet on a game at a casino or by using a licensed online platform such as FanDuel or DraftKings. The Missouri Gaming Commission would regulate and license the platforms.
Each of Missouriâs six licensed casino operators would be able to offer three platforms, or âskins,â per casino, with each casino company capped at six total. Two casino companies, Penn National and Caesarâs Entertainment, each operate three casinos in the state.
That will allow one for each of the six major sports teams that play their games within the state â the Chiefs, the St. Louis Cardinals, Kansas City Royals, St. Louis Blues, St. Louis City soccer club, and the Kansas City Current womenâs professional soccer team.
The bill would allow betting on college and professional sports but ban wagering on prep sports. The bill would require gambling platforms to use official league data for settling bets other than on the final outcome of a contest.
The bill is supported by five of the six companies operating licensed casinos and all six major sports teams.
âThis is the first time we got everybody to the table and got 99% of the people to the plate,â Houx told the House.
During the debate, the House added provisions to address an expected increase in problem gambling. Rep. Ben Baker, R-Neosho, sponsored an amendment that would require a self-exclusion program, a state-sponsored program to provide recovery services, and annual research on the prevalence of problem gambling and the effectiveness of prevention programs.
âThere will be an increase in problem gambling, both for new individuals coming into this utilizing the platforms with sports wagering and those that are currently struggling,â Baker said.
Compliance Updates
Massachusetts Gaming Commission Launches Official Seal of Approval
The Massachusetts Gaming Commission (MGC) has recently developed and adopted an official seal of approval, which all licensed sports betting operators in the state are now required to display on their digital platforms. The introduction of this seal represents a significant step in the MGCâs ongoing efforts to promote responsible and regulated gaming within the Commonwealth.
The seal is intended to serve as a clear signal to consumers that they are accessing a sports betting platform licensed and regulated by the MGC. By prominently featuring this seal, customers can easily distinguish between legal, licensed operators and unsafe, illegal alternatives.
âThe MGC has spent considerable efforts ensuring that the operators licensed in the Commonwealth share our values and are committed to consumer protections and responsible gaming. Massachusetts residents who choose to gamble on sports deserve to know their data, personal and financial information are protected, and only the legal marketplace offers those protections. By locating this seal, users will be able to easily identify a legal sportsbook from an illegal operator,â said Commissioner Eileen OâBrien.
Offshore and unlicensed sports betting sites have been accessible to patrons across the US for years. However, with the legalization of sports wagering in Massachusetts, these offshore operators may attempt to present themselves as legitimate. Yet, they are not licensed by any state jurisdiction and do not comply with the same regulations and consumer protection standards as the legal market.
The risks of using these illegal platforms extend beyond potential data breaches or financial losses. Unlicensed operators may refuse to honor winning bets, leaving consumers with little to no recourse. Illegal gambling activities are also often tied to other serious crimes. The Massachusetts Attorney Generalâs Office has issued cease-and-desist orders to several major illicit operators. It will continue to monitor and take action against such unlawful activities in coordination with the MGC. The Commission would urge anyone looking for more information on illegal platforms to visit the website of the American Gaming Association.
This newly adopted seal serves as a visual reminder of the regulations in Massachusettsâs legal sports betting market. It enhances consumer protection and builds trust with members of the public who choose to engage in sports betting. By identifying the official MGC seal, customers can have peace of mind knowing they are accessing a fully licensed platform compliant with the Commonwealthâs laws and regulations.
Compliance Updates
Internet Vikings Provides VMware License to Alpha Innovations
Internet Vikings, a licensed in-state hosting provider for iGaming and online sports betting, announces their partnership with Alpha Innovations, a provider of data center services. Under the agreement Internet Vikings will supply Alpha Innovations with VMware licensing through its VMware White Label solution.
Alpha Innovations, known for being a leading Managed Services Provider  including cloud computing, data storage, and backup, has chosen to partner with Internet Vikings, a member of the Broadcom Premier Partnership program. This membership highlights Internet Vikingsâ capabilities in supporting large-scale and highly regulated environments.
Internet Vikings will provide Alpha Innovations with the essential VMware license, an asset for their cloud offerings. This addition enhances Alpha Innovationsâ capability to set up and maintain regulated and compliant cloud environments while upholding their high standards.
“The added value of our licensing solutions and support services aligns perfectly with Alpha Innovations’ needs,” said Rickard Vikström, CEO and Founder at Internet Vikings.
Douglas Tate, CEO at Alpha Innovations added, âAs a leading Managed Service Provider (MSP), Alpha Innovations is always looking for ways to improve our service offerings. Our partnership with Internet Vikings is a win-win for our clients. By leveraging Internet Vikings’ VMware licensing solutions, we can offer our clients more flexible, scalable, and secure cloud solutions. This will ultimately help our clients achieve their business goals more efficiently and effectively.”
Both companies are committed to maintaining a transparent and mutually beneficial relationship, demonstrating how data centers and hosting providers can collaborate to meet the licensing needs of the industry.
Canada
ComeOn Group adds sportsbook to its offering in Ontario
ComeOn Group announced a significant milestone in its sportsbook expansion journey with the addition of sportsbook to their offering in Ontario following the successful acquisition of the required permits. This addition represents a strategic advancement in the Groups sportsbook growth trajectory where they are set to double its sportsbook business in the coming years.
ComeOn Group is one of 51 active operators in Ontario. The Ontario market has experienced robust growth since its launch, reaching C$6.7 billion in revenue in 2023.* By 2029, the market is forecasted to grow by a total of 29%, with 2024 expected to close with a 20% increase.
ComeOn keeps investing in its sportsbook business acceleration that is powered by its proprietary sportsbook platform and in-house risk management and trading team. As a multi product vertical operator, ComeOn is striving to give its customer base a safe and exciting entertainment destination and this approach is now expanded to their Ontario audience.
Juergen Reutter, Chief Executive Officer at ComeOn Group, said: âWe are very excited about the opportunities this new milestone opens up for us. As a casino-led operator it represents a key part of our sportsbook strategy to double our business in the coming years. Like in any of our other markets, we are striving for a differentiated sportsbook entertainment experience that is powered by our in-house technology. Our goal is to deliver top-tier entertainment to our players while fostering safe and innovative gaming experiences.â
*Source â H2GC H2 Ontario Data 25.10.2024 (excl. Lottery)
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